European Journal of Business and Innovation Research (EJBIR)

EA Journals

Analysis of Sustained Competitive Advantage of Palm Cooking Oil Company in Indonesia Using Resource-Based View Approach (Case Study at Pt. Xyz)


Indonesia is the biggest crude palm oil (CPO) exporter in the world. CPO export gave Indonesia the highest foreign exchange compare to the other sector. The current competition level of pam cooking oil in Indonesia added by the limitation of opening new field urge companies to survive by searching for the source of competitive advantage. The aims of this study are to identify company resources and capabilities and analyse them to obtain the source of sustained competitive advantage for the company. This study uses literature review, in-depth interview and questionnaires to gather the opinion of experts. Data analysis using descriptive qualitative method using Value Chain Analysis (VCA) and Valuable, Rareness, Inimitability, Organization (VRIO) framework as tools. The results showed that there are 16 resources and 15 capabilities identified using VCA. One resource pass the VRIO analysis and become the source of sustained competitive advantage for the company. Four resources and capabilities pass the V, R and O variable and gave temporary competitive advantage to the company. Two capabilities do not fulfil the O variable and gave the company competitive disadvantage. Strategy developed combine several resources and capabilities to produce new resource and capability which are unique and inimitable.

Keywords: Competitive Advantage, RBV, VCA, VRIO., palm cooking oil

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